Budget 2016 expectations: A robust manufacturing sector is an essential element of Indian growth story. On the backdrop of Make in India initiative from government, we anticipate increased manufacturing activity in the country.
To further increase the manufacturing activity in the country, we would urge government to announce more incentives that would encourage R&D initiatives in the country. The capital goods sector is the backbone of manufacturing industry for any country, in order to enhance competitiveness of capital goods sector the privileges and benefits of SEZs should be extended to the companies exporting goods irrespective of the location of manufacturing.
The government should also allocate adequate funds to enhance the quality of infrastructure – rail, road, waterways – as it will help in efficient mobility of raw materials and finished goods from one end to the other in the shortest possible time and at low cost.
By Haresh Sippy, MD, TEMA India